Business Insider reports Wag Labs Inc., the dog-walking startup that was the previous job for new Shutterfly CEO Hilary Schneider, has had SoftBank’s Vision Fund giving up its nearly 50% stake in Wag!, following Schneider’s departure, at value far less than the $665 million valuation. Vision Fund invested $300 million in Wag last year. Bloomberg reported in October the company was shopping around for buyers at a lower price than its original valuation.
The Business Insider report does not say Schneider’s departure was related to the Vision Fund decision but noted with the recent WeWork investment implosion making headlines, the fund may be reevaluating its portfolio.
A memo circulated among Wag employees informed them that the company was parting ways with SoftBank and cutting a significant number of jobs, according to The Wall Street Journal’s Cara Lombardo.
As the Dead Pixels Society reported last week, Wag chairman, Jeff Housenbold, is also the former long-time CEO of Shutterfly. Housenbold is a managing partner of Softbank Investment Advisers and was named the chairman of the board after Softbank invested $300 million in Wag! and Schneider was hired as CEO of the dog-walking startup.